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Metro Detroit lands 2 of 4 new lithium ion battery plants

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Two lithium ion battery manufacturers with offices in Metro Detroit plan to build two advanced automotive battery factories in Michigan. Exact locations are still unknown, but LG Chem-Compact Power and A123Systems have traditionally invested in Southeast Michigan.

These represent two out of the four lithium ion battery plants that are planned to be built in Michigan, providing $1.7 billion in investment and creating 6,683 new jobs. Johnson Controls-Saft Advanced Power Solutions and KD Advanced Battery Group are the other two firms that plan to build these plants here.

Compact Power, a subsidiary of Korean-based LG Chem, already has a growing office in Troy that houses 70 employees. It plans to invest $200
million in the new factory, which will employ more than 300 people. The
company received a state tax credit valued at $25.2 million over 15
years and a battery cell state tax credit valued at $100 million over
four years.A123Systems will invest more than $600 million to create a plant that specializes in initial coating, cell manufacturing and pack assembly for the lithium ion batteries. More than 5,000 new jobs will be created. The state will give the company a high-tech state tax credit of $25.2 million over 15 years and a battery cell state tax credit of $100 million over four years. A123Systems also has a growing office in Ann Arbor and plans to build a factory in Novi.

Source: State of MichiganWriter: Jon Zemke

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